Singapore's Partior, Bahrain's NBB to Study Dinar Blockchain Settlement
The Memorandum of Understanding aims to integrate Bahraini Dinar settlements into Partior's blockchain network, targeting more efficient cross-border payments.
Partnership for Digital Dinar
Partior, a Singapore-based blockchain network operator, and the National Bank of Bahrain (NBB) have signed a Memorandum of Understanding. This agreement focuses on assessing the integration of Bahraini Dinar settlements into Partior's live multi-bank blockchain network.
The initiative aims to enhance the efficiency of cross-border payments and inter-bank settlements between financial institutions. NBB will evaluate its potential role as a settlement bank within this emerging digital infrastructure.
Evaluation Framework and Objectives
The MoU establishes a framework to examine the proposed operating model and technical implementation requirements for the integration. Vineet Munot, NBB's Group Head of Transaction Banking, stated that the bank will approach this opportunity with appropriate technical, operational, and regulatory considerations.
The objective is to determine the potential value this could bring to NBB and Bahrain's broader banking and finance industry.
Expanding Blockchain Presence
Humphrey Valenbreder, Partior's CEO, noted that this collaboration provides an avenue to assess how Bahraini Dinar settlement could be incorporated into Partior’s network. This builds on the company's growing presence across the Gulf Cooperation Council (GCC) region.
The partnership also aligns with NBB's efforts to bolster its transaction banking capabilities and improve international connectivity for its operations.
Next Steps for Digital Payments
The proposed arrangement remains in an evaluation phase, with no specific timeline for implementation having been announced. A successful outcome could offer a template for other Middle Eastern financial institutions seeking to digitalise currency settlements.
Companies involved in regional trade or remittances will watch for future updates on reduced transaction costs and faster processing times, which are key benefits of blockchain-based payment systems.
This article is journalism, not investment advice; consult a licensed professional before making financial decisions. Market data is indicative, may be delayed, and should be verified with your broker or exchange before use.
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